MDAW
MediaX Corp
Price:  
USD
Volume:  
3,900
United States | Professional, Scientific, and Technical Services

MDAW WACC - Weighted Average Cost of Capital

The WACC of MediaX Corp (MDAW) is 11.2%.

The Cost of Equity of MediaX Corp (MDAW) is 1544.15%.
The Cost of Debt of MediaX Corp (MDAW) is 7.8%.

RangeSelected
Cost of equity1248.5% - 1839.8%1544.15%
Tax rate0.0% - 0.0%0%
Cost of debt7.0% - 8.6%7.8%
WACC9.7% - 12.7%11.2%
WACC

MDAW WACC calculation

CategoryLowHigh
Long-term bond rate3.9%4.4%
Equity market risk premium4.6%5.6%
Adjusted beta270.57327.67
Additional risk adjustments0.0%0.5%
Cost of equity1248.5%1839.8%
Tax rate0.0%0.0%
Debt/Equity ratio
451.39451.39
Cost of debt7.0%8.6%
After-tax WACC9.7%12.7%
Selected WACC11.2%

MDAW WACC - Detailed calculations of Beta

LowHigh
Unlevered beta0.480.98
Relevered beta403.34488.57
Adjusted relevered beta270.57327.67

MDAW's CAPM model and how its cost of Equity is calculated

The Cost of Equity reflects the return a company needs to deliver to shareholders to justify the risk of investing in its shares. It’s computed using the Capital Asset Pricing Model (CAPM), which blends the risk-free rate, the stock’s beta, and the market risk premium.

This method evaluates the stock’s risk compared to a safe investment and the market’s overall volatility.

Here’s how we figure out the cost of equity for MDAW:

cost_of_equity (1,544.15%) = risk_free_rate (4.15%) + equity_risk_premium (5.10%) * adjusted_beta (270.57) + risk_adjustments (0.25%)

We include the risk adjustments, which range from 0% to 1%, to keep our WACC conservatives, especially for companies traded in developing markets.